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Applying Organizational Change and Leadership to Agile Transformations - Joseph Vallone

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It is no secret that when an organization chooses to transition to Agile methodologies, it requires an enormous commitment to leadership and change management. Even in prescriptive methods of Agile transitions, such as SAFe, I have found this subject matter deficient, especially in the area of practical application. This presentation is based on a training class I developed and conducted with executive leadership at American Airlines. It focuses on how to apply Dr. John Kotter's 8-step model of change management and leadership to help transition an organization to support an Agile transformation. I have been involved in large scale Agile Transformations at Nokia, AT&T, American Airlines, Telogical Systems and VCE. I have successfully applied the principles of this process at several companies, most recently at American Airlines IT division to train executives in Agile Change Management.

Dr. John Kotter is arguably the foremost authority on the subjects of Leadership and Change Management. He is a graduate of MIT and a professor emeritus at Harvard. Dr. Kotter's vast experience and knowledge on successful change and leadership have been proven time and again. The presentation was developed to apply the principles of Dr. Kotter's book: Our Iceberg is Melting, to Agile Organizational Change Management.

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Applying Organizational Change and Leadership to Agile Transformations - Joseph Vallone

  1. 1. Applying  Organiza-onal  Change   and  Leadership  to  Agile   Transforma-ons    
  2. 2. 3/3/14          |        2        |        ©2012  Ciber,  Inc.  
  3. 3. 3/3/14 | 3 | ©2012 Ciber, Inc. Objec-ves   You  leave  here  today  with:   ü  An  understanding  of  Dr.  John  KoAer’s  8  step  leadership  model  for   change.   ü  An  understanding  how  to  apply  the  8-­‐step  model  when  changing  an   organizaKon  to  Agile.   ü  Learn  how  to  measure  change  progress  in  this  model.   ü  Learn  how  to  overcome  barriers  to  change  management  in  this  model.   ü  Lesson’s  learned  when  applying  the  model  at  AA.  
  4. 4. 3/3/14 | 4 | ©2012 Ciber, Inc. Overview     •  IntroducKon     •  Overview  of  Dr.  KoAer’s  8-­‐Step  Model   •  Synopsis  of  Our  Iceberg  is  Mel.ng   •  Applying  Dr.  KoAer’s  Model  to  Agile  OCM   •  Measure  the  change     •  Lesson’s  Learned  from  AA     •  Q&A  
  5. 5. 3/3/14 | 5 | ©2012 Ciber, Inc. My  Background   •  Over  20  years  of  SoSware  Development  and  project   management  experience.  Agile  experience  since  2002   •  Undergraduate  Engineering,  USF   •  Graduate  MBA,  Cox  School  of  Business,  SMU   •  CerKfied  SCRUM  Professional  (CSP,  CSM)   •  Experience  leading  Agile  TransformaKons  at  Nokia,   AT&T,  American  Airlines   •  Previous  Agile/Scrum  opponent  now  proponent   •  CerKfied  SAFe  Program  Consultant  (SPC)   •  Have  implemented  both  SAFe  and  CIF  
  6. 6. Leading  Teams  Through   Change   Overview  of  Dr.  John  Ko9er’s  8-­‐Step  Model  
  7. 7. 3/3/14 | 7 | ©2012 Ciber, Inc. Many  Perspec-ves  for  Looking  at  Change    
  8. 8. 3/3/14 | 8 | ©2012 Ciber, Inc. Focus  Today  on  How  to  Apply  One,  and  how  we   applied  it  at  American  Airlines      
  9. 9. 3/3/14 | 9 | ©2012 Ciber, Inc. KoIer’s  Model  of  Change  
  10. 10. 3/3/14 | 10 | ©2012 Ciber, Inc. •  Our  Hero  Fred,  a  curious  Emperor  Penguin  noKced  they  had  a  problem  –   their  iceberg  was  melKng  and  could  collapse  leaving  the  colony  homeless   and  endangered.     •  Fred  wanted  to  warn  everyone  however,  when  Harold  tried  to  warn   people  of  the  same  thing  they  would  not  listen  and  ostracized  him.     •  So  Fred  approached  Alice,  an  influenKal  member  of  the     Leadership  Council.  She  had  him  show  her  the  problem.     •  He  explained  the  details  in  a  way  that  Alice  understood.  Alice     wanted  to  think  about  the  best  way  to  tell  the  colony.    She     also  warned  Fred  to  be  prepared  for  resistance.       The  Story  begins…  
  11. 11. 3/3/14 | 11 | ©2012 Ciber, Inc. Then…   •  Alice  tried  unsuccessfully  to  get  the  Leadership  Council  to  make  the  trip   with  Fred  to  see  the  danger  first  hand.  She  did,  however,  get  Louis,  the   head  of  the  council,  to  invite  him  to  speak  the  next  Council  MeeKng.     •  Fred’s  model  of  the  iceberg  got  the  aAenKon  of  the  Leadership  Council  .   However  one  council  member,  NoNo,  rallied  some  of  the     members  accusing  Fred  of  trying  to  cause  a  panic.       •  Alice  came  to  Fred  ‘s  defense  asking,”  how  would  they     feel  if  Fred  was  right  but  they  did  nothing?  How  would     they  explain  to  the  others  when  they  were  homeless  and     lost  loved  ones?”  
  12. 12. 3/3/14 | 12 | ©2012 Ciber, Inc. •  Louis  suggested  forming  a  commiAee  to  analyze  the  situaKon  and  develop   a  plan  while  keeping  the  problem  from  the  colony.     •  Alice  urged  it  was  far  to  serious  and  should  be  discussed  quickly  at  an   assembly  of  the  full  colony.    The  Council  wanted  more  evidence  to  take  to   the  colony  so  Fred  proposed  an  experiment  to  prove  the  iceberg  was  in   danger.       •  A  glass  boAle  of  water  was  leS  to  freeze  overnight.  When  the  boAle   shaAered  from  the  expanding  ice,  they  would  have  proof  that  the  iceberg   is  in  danger.     •  The  Assembly  was  held  to  let  the  penguins  know  what  was  about  to   happen.  Everyone  had  a  chance  to  see  Fred’s  model  and  the  evidence  of   boAle.  You  could  feel  a  difference;  the  start  of  the  change  process  had   begun…   So…  
  13. 13. 3/3/14 | 13 | ©2012 Ciber, Inc. Step  1:  Create  a  Sense  of  Urgency   •  The  assembly  reduced  the  level  of  complacency  and  created  a  sense  of   urgency.  Every  penguin  knew  swiS  acKon  was  required.     •  In  our  world  we  can  do  this  by     §  Helping  people  understand  why  the  change  is  important     §  IdenKfying  what  is  in  it  for  them  as  well  as  the  organizaKon   •  As  leaders,  how  would  you  create  a  sense  of  urgency  for  your  Agile   transforma-on,  but  not  panic?   §  Our  customers  were  demanding  more   §  Our  compeKKon  was  tough   §  The  business  didn’t  trust  us  to  deliver   §  We  needed  to  deliver  quicker   §  Change  was  needed  to  keep  pace  
  14. 14. 3/3/14 | 14 | ©2012 Ciber, Inc. Next…   •  NoNo  told  Louis  it  was  his  duty  to  solve  the  problem  as  the  Leader  of  the   colony.  Louis  knew  he  could  not  do  it  alone.   •  Other  penguins  thought  he  should  delegate  to  experts  but  they  lacked   credibility  with  the  colony.     •  Louis  thought  and  was  ready  for  the  next  step…  
  15. 15. 3/3/14 | 15 | ©2012 Ciber, Inc. Step  2:  Pull  Together  the  Guiding  Team   •  Louis  assembled  a  diverse  team     •  Louis  –  experienced  leader,  wise,  paKent,  well  respected     •  Alice  –  pracKcal,  aggressive,  smart,  not  easily  inKmidated   •  Fred  -­‐  level-­‐headed,  curious  and  creaKve     •  Buddy  -­‐  trusted  and  well  liked     •  Jordan  -­‐  the  Professor,  logical  and  intelligent   •  Louis  then  dedicated  some  Kme  for  them  to  form  as  a  team     •  For  AA’s  organizaKon  Agile  Leadership  team   •  IdenKfy  early  adopters  in  all  roles   •  Make  sure  the  team  is  diverse  with  leadership  skills,  credibility,   communicaKon  skills,  authority,  analyKcal  skills  and  a  sense  of  urgency   •  Include  your  business  partners!  
  16. 16. 3/3/14 | 16 | ©2012 Ciber, Inc. Example  Scope  for  Agile  Leadership  Team           Succeeding  with  Agile  TransformaKon     ConKnuous  Improvement     Starter  Kit   S.W.A.T  
  17. 17. 3/3/14 | 17 | ©2012 Ciber, Inc. Example  -­‐  What’s  our  long  term  purpose?   •  To  bring  structure  to  achieve  conKnuous  improvement  in  four   focus  areas          Efficiency     Quality     Porpolio   Process    
  18. 18. 3/3/14 | 18 | ©2012 Ciber, Inc. Example  -­‐  What’s  our  current  focus?   •  To  bring  structure  to  achieve  conKnuous  improvement  in   three  focus  areas           Efficiency     Process  Porpolio  
  19. 19. 3/3/14 | 19 | ©2012 Ciber, Inc. Example  -­‐  How  do  we  get  started?   Create  a  guiding  Scrum  Team!     Iden-fy  Ini-al   Team   Members   • Recommend  3  to  5  people,  including  business  and  PMO  representaKon   • Run  this  as  an  Agile  team  on  a  modified  schedule   • Main  goal  –  remove  impediments  to  the  Agile  transformaKon     Conduct  ini-al   kickoff  session    to   •     Introduce  the  concept   •   Define  the  vision   •   Brainstorm  backlog  ideas   •   Define  working  agreements  (e.g.,  iteraKon  and  standup  cadence,  Kme  commitment,  condiKons  for        involvement)   •   Determine  if  addiKonal  team  members  are  needed  at  this  Kme  (and,  if  so,  idenKfy  and  recruit  candidates)   •   IdenKfy  a  Product  Owner   •   IdenKfy  a  Scrum  Master   •   Determine  how  to  make  the  team’s  acKviKes  and  progress  visible  to  the  organizaKon     Conduct   second  kickoff   session   • Introduce  new  team  members  (if  applicable)   • Define  a  roadmap  with  quarterly  release  cycles   • Create  iniKal  backlog   • Define  a  release  plan  (even  this  can  be  a  challenge  when  starKng  from  zero,  but  the  CIF  overviews  can  help  to   prompt  thinking  on  this)   • Schedule  the  first  iteraKon  planning  session  
  20. 20. 3/3/14 | 20 | ©2012 Ciber, Inc. Example  -­‐  How  do  we  succeed?   Diversity  in   roles  and  levels   represented   within  the  team   Time  &  Commitment   Involvement  of   Agile  Coach  &   Mentor  
  21. 21. 3/3/14 | 21 | ©2012 Ciber, Inc. Example  –  Por^olio         Purpose:     Organize  roadmaps,  releases,  and  iteraKons  of   work  to  opKmize  return  on  investment;  they   also  focus  on  total  cost  of  ownership  of  the   product,  as  well  as  its  long  term  viability  and   value.  This    is  accomplished  by  implemenKng   changes  that  opKmize  the  organizaKon’s   return  on  investment  of  product  work.   Example  Stories:   -­‐  Create  visualizaKon  of  projects  in  progress     -­‐  Establish  a  backlog  of  prioriKzed  concepts   -­‐  Establish  project  work  capacity  limit   -­‐  Establish  relaKve  business  value  scale  and   evaluate  projects   -­‐  Establish  project  selecKon  criteria  and   process   -­‐  Determine  maximum  project  size   Poten-al  Strategies  for  Execu-on:   -­‐  Create  and  enforce  a  list  of  criteria  to  start  a   project   -­‐  UKlize  Go/No  Go  aSer  project  IteraKon  Zero   -­‐  Evaluate  current  speed-­‐to-­‐market  to  deliver   value  more  frequently   Metrics:   -­‐  Cycle  Kme   -­‐  Concepts  in  the  pipeline   -­‐  Work  in  Progress  (  #  of  projects)   -­‐  Return  on  investment  (  Partnering  with   Finance  )   -­‐  Usage  of  funcKonality  delivered   -­‐  Number  of  people  shared  on  more  than  one   project  
  22. 22. 3/3/14 | 22 | ©2012 Ciber, Inc. Example  -­‐  Process   Purpose:     Ensure  that  agile  principles  and  pracKces  for   Agile  @  American  are  employed.  Work  closely   with  leadership  and  teams  to  opKmize   producKvity  while  increasing  agility  by   ensuring  that  the  Product  Owner  and   Development  teams  know  how  to  and  do  work   effecKvely.     Example  Stories:   -­‐  AAend  Project  Management  in  an  Agile   World  training   -­‐  Request  agile  assessments   -­‐  Conduct  lunch  and  learn  sessions  (e.g.,  about   effecKve  retrospecKve  techniques)     Poten-al  Strategies  for  Execu-on:   -­‐  Ensure  team  members  and  leaders  have   aAended  all  relevant  agile  trainings   -­‐  Review  project  KPIs  at  MD  Leadership   meeKng   -­‐  Walk-­‐a-­‐mile  in  a  different  team  role   Metrics:   -­‐  %  of  non-­‐agile  to  agile  projects  in  progress   -­‐  %  of  projects  reporKng  KPIs   -­‐  %  of  teams  within  threshold  KPI  iteraKon   performance  trends     -­‐  %  of  teams  within  threshold  KPI  product   owner  saKsfacKon  trends   -­‐  %  of  funding  documents  that  cycle  within  an   acceptable  Kmeframe  
  23. 23. 3/3/14 | 23 | ©2012 Ciber, Inc. Example  -­‐  Efficiency     Purpose:     Remove  waste  that  teams  discover  as  they  develop   product,  increase  producKvity,  raise  quality,  and   ensure  value.  This  is  accomplished  by  implemenKng   changes  that  streamline  and  opKmize  the   organizaKon  to  increase  agility  and  funcKon  in  the   best  possible  manner  with  the  least  waste  of  Kme  and   effort.   Example  Stories:   -­‐  Business  doesn’t  realize  the  Kme  required  to  be  a  PO   –  can  the  Efficiency  team  help  train  the  PO’s  and  get   buy-­‐in,…   -­‐  Change  the  way  release  planning  is  done  (e.g.  ,   mulK-­‐team  release  planning)   -­‐  Coordinate  with  Corporate  Real  Estate  to  establish   collaboraKve  environments   -­‐  Establish  info  radiator   -­‐  HR  related  acKviKes  (  onboarding,  terminaKon    -­‐   impacts)   Poten-al  Strategies  for  Execu-on:   -­‐  Conduct  training  and  workshops  on  how  to  define,   recognize,  and  reduce  waste   -­‐  Collocate  teams  a  couple  of  Kmes  a  week   -­‐  Implement  reward  system  for  teams  that  embrace   transparency   -­‐  Remove  project  delay  by  reducing  cross-­‐team   dependencies   -­‐  Leverage  collaboraKon  tools  (e.g.,  video   conferencing,  screen  sharing)   Metrics:   -­‐  Number  of  projects  deployed  to  prod/quarter     -­‐  Number  of  new  hires/churn  of  employees   -­‐  Employee  engagement  (  saKsfacKon  is  a  subset  of   engagement)     -­‐  Customer  SaKsfacKon  
  24. 24. 3/3/14 | 24 | ©2012 Ciber, Inc. Step  3:  Develop  a  Change  Vision   •  Clarify  how  the  future  will  be  different  from  the  past  and  how  you  can   make  that  future  reality   •  Treat  the  Agile  TransformaKon  as  a  project     o  Use  the  templates  and  create  a  Vision  and  Roadmap   o  Build  a  backlog     o  Plan  small  releases  
  25. 25. 3/3/14 | 25 | ©2012 Ciber, Inc. Example – Vision Template Guides  the  development  process   Gives  direcKon  in   what  the  product/project  is  about   why  we  are  doing  it   what  we  expect  from  it.   FOR  AAdvantage  Members  and  Guests   WHO    are  looking  for  opportuniKes  to  redeem  their  miles  on  a  wider  network  of  ciKes/airlines   THE  All  Partner  Awards  Program  IS  A  redempKon  opKon  within  the  AAdvantage  Program   THAT  WILL  allow  them  to  search,  view  and  book  redempKon  flights  on  AAdvantage  parKcipaKng                                        carriers  in  a  self  service  mode  on  AA.com.   UNLIKE  Northwest  Airlines  and  other  AA  compeKtors   OUR  PROGRAM  will  allow  customers  to  book  AAdvantage  Partner  Awards  online.   25  
  26. 26. 3/3/14 | 26 | ©2012 Ciber, Inc. Example - Road Map Template <product> Release 1 Release 2 Release 3 Release 4 mm/yyyy  -­‐  mm/yyyy   mm/yyyy  -­‐  mm/yyyy   mm/yyyy  -­‐  mm/yyyy   mm/yyyy  -­‐  mm/yyyy   Market / Customers Themes Benefits Architecture Impact Events and/or Cycles •   What  are  we  planning  to  deliver  when   Market/Customers  served  by  the  addiKons,   modificaKons  planned  for  the  product   Themes  represent  a  group  of  features  or  capabiliKes   to  be  incorporated  into  the  product   List  quanKfiable  business  benefits  be  for  each  release   Expected  impact  on  the  IT  architecture  and   infrastructure   What  events  and/or  seasonal  cycles  affect  the  release   or  the  Kming  of  the  release   26  
  27. 27. 3/3/14 | 27 | ©2012 Ciber, Inc. Step  4:  Communicate  for  Buy-­‐in   •  Make  sure  as  many  others  as  possible  understand  and  accept  the  vision   and  strategy   •  Communicate,  communicate,  communicate   o  Use  communicaKon  style  that  works  for  the  receiver     o  Ask  the  receiver  what  works  for  them     •  How  would  you  get  buy  in?   •  Share  the  vision  with  everyone   §  Make  results  “visible”   §  Bracelets   §  Agile  Reminder  Cards   §  ConKnuous  Training  
  28. 28. 3/3/14 | 28 | ©2012 Ciber, Inc. Step  5:  Empower  Others  to  Act   •  Remove  as  many  barriers  as  possible  so  that  those  who  want  to  make  the   vision  reality  can  do  so   •  Ask  for  possible  soluKons  when  presented  with  roadblocks   •  Work  together  to  remove  roadblocks  and  impediments   §  E.g.  Coaches  teaming  with  PMO   •  Holding  each  other  accountable   o  Ask:  What  will  prevent  you  from  taking  100%  responsibility?   •  Delegate  decisions  and  acKons  to  the  teams     §  Let  the  teams  decide!  
  29. 29. 3/3/14 | 29 | ©2012 Ciber, Inc. Step  6:  Produce  Short  Term  Win   •  Create  some  visible,  unambiguous  successes  as  soon  as  possible     §  AdverKse!  Create  a  newsleAer   •  Demand  transparency     §  E.g.  Open  and  honest  communicaKon  during  retrospecKves   •  Keep  focus  on  short  term  goals   •  Don’t  sacrifice  the  long  term  vision!  
  30. 30. 3/3/14 | 30 | ©2012 Ciber, Inc. Step  7:  Don’t  Let  Up   •  Press  harder  and  faster  aSer  the  first   successes.  Be  relentless  with  iniKaKng   change  aSer  change  unKl  the  vision  is   reality   •  Failure  does  occur  and  is  accepted,  as   long  as  you  understand  why   •  Keep  the  forward  momentum  -­‐    don’t   allow  the  “old  ways”  to  conKnue   •  RetrospecKves  –  Inspect  and  Adapt   •  Welcome  Change!  
  31. 31. 3/3/14 | 31 | ©2012 Ciber, Inc. Step  8:  Make  It  S-ck  –  Create  a  New  Culture   •  Hold  on  to  the  new  ways  of  behaving  and  make  sure  they  succeed,  unKl   they  become  strong  enough  to  replace  old  tradiKons   •  Build  trust   •  Value  results   •  Hold  the  date  sacred  
  32. 32. Making  It  S-ck   Tracking  Project  Health  via  Key   Performance  Indicators  
  33. 33. 3/3/14 | 33 | ©2012 Ciber, Inc. What  are  KPIs?   •  Metrics  to  help  idenKfy  opportuniKes  for  support   §  Time  to  Market   •  Length  of  Release   •  Length  of  IteraKon  0     §  ProducKvity   •  By  Release     •  By  IteraKon     §  Planning  Predictability   §  Business  SaKsfacKon  
  34. 34. 3/3/14 | 34 | ©2012 Ciber, Inc. Time  to  Market  –  Release     •  Goal:  Deliver  Business  Value  Sooner   •  Determined  by  comparing  planned  length  of  releases  against  overall   project  planned  length   •  Target:   •  P  >  25m        R  <  9m   •  13m  <  P  >  24m    R  <  6m   •  P  <  12m      R  <  3m   Project  Length  12  m   Release  3  m   Project  Length  12  m   Release  5m   NA   >  target   ≤    target  
  35. 35. 3/3/14 | 35 | ©2012 Ciber, Inc. Time  to  Market  –  Itera-on  0   •  Goal:  Deliver  Business  Value  Sooner   •  Determined  by  comparing  planned  length  of  iteraKon  0  against  planned   length  of  the  release   •  Target:   •  R  ≤  3m        I  ≤  2w   •  R  ≤  6m      I  ≤  4w   •  R  ≤  9m      I  ≤  6w   NA   >  target   ≤    target   Equal  to  or  Less   than  Max   Greater  than   Max  
  36. 36. 3/3/14 | 36 | ©2012 Ciber, Inc. Produc-vity  -­‐  Release   •  Goal:  ConKnuous  Delivery  by  the  team   §  This  KPI  projects  the  %  of  the  release  that  will  be  completed  by  the   end  of  the  project  based  on  team  performance  to  date.   •  Determined  by  comparing  the  %  of  Release  points  completed  thus  far  to   the  %  of  schedule  completed  thus  far.   •  Target:   §  Deliver  more  than  85%  of  planned     release  points   <  75%  or  >  125%   75%  –  84%  or   116%  –  125%     85%  –  115%    
  37. 37. 3/3/14 | 37 | ©2012 Ciber, Inc. Produc-vity  -­‐  Itera-on   •  Goal:  ConKnuous  Delivery  by  the  team   •  Determined  by  comparing  the  number  of  points  accepted  at  the  end  of   the  iteraKon  to  the  number  of  points  commiAed  by  the  team  at  iteraKon   planning   •  Target:   §  Deliver  more  than  85%  of  commiAed  points   <  75%  or  >  125%   75%  –  84%  or   116%  –  125%     85%  –  115%    
  38. 38. 3/3/14 | 38 | ©2012 Ciber, Inc. Planning  Predictability   •  Goal:  Consistent  execuKon  by  the  team   •  Determined  by  comparing  the  number  of  unfinished  hours  at  the  end  of   the  iteraKon  to  the  total  esKmated  hours   •  Target:  At  iteraKon  end  no  more  than  20%  of  hours  esKmated  are   unfinished   >20%   NA   ≤  20%   22%   Unfinished  
  39. 39. 3/3/14 | 39 | ©2012 Ciber, Inc. Business  Sa-sfac-on   •  Goal:  Business  Value  Achieved   §  Is  the  business  seeing  meaningful  progress  toward     §  delivering  value?     •  Determined  by  a  raKng  delivered  to  the  team  by  the  Product  Owner  at  the   end  of  the  iteraKon     •  Target:   §  Score  8  out  of  a  possible  10     <  5   6-­‐7   8-­‐10  
  40. 40. 3/3/14 | 40 | ©2012 Ciber, Inc. Example  Release  KPI  &  Burn  Up   What  is  this  saying?   0%   20%   40%   60%   80%   100%   120%   140%   160%   1   2   3   4   5   6   Release  Produc-vity   %  Scope  Complete  vs.  %  Schedule  Complete   What  is  this  saying?   16  points   not   accepted  
  41. 41. 3/3/14 | 41 | ©2012 Ciber, Inc. Example  Release  KPI  &  Burn  Up   What  happened?   •  IniKally,  the  Release  1  backlog  was  not  fully  defined   and  esKmated  so  it  appeared  we  could  accomplish   more  than  planned  in  the  release   •  Refined  backlog  grooming  discipline  in  IteraKons  2  &   3,  which  increased  the  backlog  point  values   •  Adjusted  Release1  deliverables  at  the  end  of   IteraKon  4  based  on  average  velocity  and  Kme   remaining  in  release   0%   20%   40%   60%   80%   100%   120%   140%   160%   1   2   3   4   5   6   Release  Produc-vity   %  Scope  Complete  vs.  %  Schedule  Complete   What  happened?   •  EnKre  backlog  was  not  sized  at  start  of  release   •  Re-­‐evaluated  point  values  of  backlog  in  IteraKons  2   &  3    based  on  experience     •  Adjusted  Release  1  deliverables  at  the  end  of   IteraKon  4     •  Added  points  in  IteraKon  6  for  producKon-­‐related   issues   16  points   not   accepted  
  42. 42. 3/3/14 | 42 | ©2012 Ciber, Inc. Example  Itera-on  KPIs   What  is  this  saying?   What  is  this  saying?   0%   20%   40%   60%   80%   100%   120%   140%   160%   180%   200%   1   2   3   4   5   6   Itera-on  Produc-vity   Points  Accepted  vs.  Points  Planned   -­‐100%   -­‐80%   -­‐60%   -­‐40%   -­‐20%   0%   20%   40%   1   2   3   4   5   6   Planning  Predictability   Remaining  To  Do  Hours  
  43. 43. 3/3/14 | 43 | ©2012 Ciber, Inc. Example  Itera-on  KPIs   What  happened?   •  80%  of  hours  planned  in  IteraKon  3  not  completed   due  to  unexpected  data  clean  up   •  40%  of  hours  planned  in  IteraKons  5&  6  not   completed  due  to  unforeseen  complexiKes  of   adding  verKcal/porpolio  filter  which  led  to   addiKonal  task  hours  and  more  hours  remaining  at   the  end  of  the  iteraKon     What  happened?   •  Accepted  80%  more  points  than  planned  in   IteraKon  1  due  to  addiKonal    resource  availability   to  pull  in  a  story  from  the  backlog   •  Did  not  accept  all  stories  planned  in  IteraKons  2  &   3  due  to  clean  up  data     •  Did  not  accept  verKcal/porpolio  filter  story  in   IteraKons  5  &  6         0%   20%   40%   60%   80%   100%   120%   140%   160%   180%   200%   1   2   3   4   5   6   Itera-on  Produc-vity   Points  Accepted  vs.  Points  Planned   -­‐100%   -­‐80%   -­‐60%   -­‐40%   -­‐20%   0%   20%   40%   1   2   3   4   5   6   Planning  Predictability   Remaining  To  Do  Hours  
  44. 44. 3/3/14 | 44 | ©2012 Ciber, Inc. Example  Itera-on  KPI   1   2   3   4   5   6   7   8   9   10   1   2   3   4   5   6   Business  Sa-sfac-on   1-­‐10  scale  (10  is  best)   What  are  the  Lessons  Learned?  
  45. 45. 3/3/14 | 45 | ©2012 Ciber, Inc. Example  Itera-on  KPI   1   2   3   4   5   6   7   8   9   10   1   2   3   4   5   6   Business  Sa-sfac-on   1-­‐10  scale  (10  is  best)   Lessons  Learned:   •  Allot  Kme  for  ensuring  data  is  clean     •  Consider  the  impact  of  re-­‐tesKng  when  determining  story  prioriKzaKon   •  Create  a  stage  environment  to  test  for  potenKal  producKon  issues  throughout  the  release   •  Break  large  point  stories  into  smaller  stories  to  focus  team  efforts  and  see  small  “wins”  early   in  the  iteraKon  
  46. 46. Appendix   Introduc.on  to  Maturity  Assessments  -­‐   Zanshin,  Shu,  Ha,  Ri    
  47. 47. 3/3/14 | 47 | ©2012 Ciber, Inc. KPI:  Time  to  Market  –  Release  Dura-on   Deliver  business  value  sooner       GOAL:   MEASUREMENT   Release  duraKon         WHAT   9  months  or  less  per  Release  (projects  25  or  more  months)   6  months  or  less  per  Release  (projects  13-­‐24  months)   3  months  or  less  per  Release  (projects  12  or  less  months)       TARGET   Release  1   Release  2   Release  N   Roadmap   Release   IteraKon   Daily   Vision   Max  9  months  Max  9  months   Max  9  months   Release   Release  
  48. 48. 3/3/14 | 48 | ©2012 Ciber, Inc. KPI  workbook  –  Release  Dura-on   •  Enter the “Release Start Date” " •  The “Release End Date” is calculated based on the “Release Start Date”, “Iteration Length” and “Iterations in Release” for the project" •  KPIs will color red or green as appropriate" –  If duration is equal to/less than maximum allowed, the KPI will be green" –  If duration is greater than maximum allowed, the KPI will be red"
  49. 49. 3/3/14 | 49 | ©2012 Ciber, Inc. KPI:  Time  to  Market  –  Itera-on  0  Dura-on   Deliver  business  value  sooner       GOAL:   MEASUREMENT   IteraKon  0  duraKon         WHAT   Maximum  2  weeks  for  a  Release  of  3  months  or  less     Maximum  4  weeks  for  a  Release  of  6  months  or  less   Maximum  6  weeks  for  a  Release  of  9  months  or  less         TARGET   Equal  to  or  Less  than     Max   Greater  than     Max  
  50. 50. 3/3/14 | 50 | ©2012 Ciber, Inc. KPI  workbook  –  Itera-on  0  Dura-on     •  Enter the “Iteration 0 Start Date” and “Iteration 0 End Date”" •  KPIs will color red or green as appropriate" –  If duration is equal to/less than maximum allowed, the KPI will be green" –  If duration is greater than maximum allowed, the KPI will be Red"
  51. 51. 3/3/14 | 51 | ©2012 Ciber, Inc. KPI:  Planning  Predictability   Consistently  execute  to  a  realisKc  plan  based  on  team  capacity    GOAL:   MEASUREMENT   Burn  down  variance  at  end  of  iteraKon         WHAT       Remaining  To  Do  hours  no  more  than  20%  of  planned       TARGET   A  team  creates  a  plan  that  reflects  reality  and  follows  that  plan.  When  new   informa.on  is  discovered  the  plan  is  adjusted  immediately.     Task  hours     Time   Hours  planned   Hours  remaining   KEY   Burn  down   variance  
  52. 52. 3/3/14 | 52 | ©2012 Ciber, Inc. KPI  workbook  –  Planning  Predictability   •  Columns for each Iteration are created automatically based on “Iterations in Release”" •  Iteration Start/End dates are calculated based on “Release Start Date” and “Iteration Length”." •  Enter “Total Task Hours Planned” which includes all estimated hours for the Iteration. This number may change as work is found during the iteration." •  Enter “Remaining Task Hours” at the end of the iteration before stories are moved or split" •  KPIs will color red or green as appropriate" –  If variance is equal to/less than 20%, the KPI will be green" –  If variance is greater than 20%, the KPI will be red" This data can be found on the “Track Iteration” view in the Rally tool.  
  53. 53. 3/3/14 | 53 | ©2012 Ciber, Inc. KPI:  Itera-on  Produc-vity   ConKnuous  delivery  of  accepted  product     GOAL:   MEASUREMENTS   WHAT                                                                                                                     TARGET   A  produc.ve  team  incrementally  develops,  tests,  and  delivers  working  soQware  that  is   accepted  by  the  business  –  throughout  every  itera.on  and  release.   points  accepted     points  planned   %  Scope  complete     Planned  points   Accepted  points   KEY   %  complete  of  IteraKon  scope  planned     Time   Scope  (Story)     Points   100%  scope     125%   115%   85%   75%  
  54. 54. 3/3/14 | 54 | ©2012 Ciber, Inc. KPI  workbook  –  Itera-on  Produc-vity     •  Enter “Iteration Points Planned” at the start of the Iteration. This number remains unchanged even if stories are moved in or out during the iteration." •  Enter “Iteration Points Accepted” at the end of the Iteration. This is the total points for stories that have been completed by the team and accepted by the Product Owner." •  KPIs will color red, yellow or green as appropriate" –  If “% Complete” is 85% – 115%, the KPI will be green" –  If “% Complete” is 75% – 84% or 116% – 125%, the KPI will be yellow" –  If “% Complete” is less than 75% or more than 125%, the KPI will be red" Points planned can be found on the “Track Iteration” view in the Rally tool.   Filter the state to see “Points Accepted”  
  55. 55. 3/3/14 | 55 | ©2012 Ciber, Inc. KPI:  Release  Produc-vity   ConKnuous  delivery  of  accepted  product     GOAL:   MEASUREMENTS   WHAT                                                                                                                     TARGET   A  produc.ve  team  incrementally  develops,  tests,  and  delivers  working  soQware  that  is   accepted  by  the  business  –  throughout  every  itera.on  and  release.     %  Scope  Completed     %  Schedule  Completed   %  Scope  projected     Planned  points   Accepted  points   KEY   %  of  Release  scope  projected   Time   Scope  (Story)     Points   100%  scope     125%   115%   85%   75%  
  56. 56. 3/3/14 | 56 | ©2012 Ciber, Inc. KPI  workbook  –    Release  Produc-vity     •  Enter “Release Points Planned” at the end of the Iteration. This number should remain unchanged from the Release plan unless a change of Release scope has been agreed to by the team, the PO and stakeholders. " •  “Total Release Points Accepted to Date”, “Scope % Complete” and “Schedule % Complete” calculate automatically" •  KPIs will color red, yellow or green as appropriate" –  If “% Release Scope Projected” is 85% – 115%, the KPI will be green" –  If “% Release Scope Projected” is 75% – 84% or 116% – 125%, the KPI will be yellow " –  If “% Release Scope Projected” is less than 75% or more than 125%, the KPI will be red"
  57. 57. 3/3/14 | 57 | ©2012 Ciber, Inc. KPI:  Business  Sa-sfac-on   Business  value  achieved  every  IteraKon  and  Release     GOAL:   MEASUREMENTS   Is  the  business  seeing  meaningful  progress  toward   delivering  value?         WHAT   Rated  on  a  scale  of  1-­‐10,  ten  being  the  best     TARGET   Measurement  of  the  value  of  each  itera.on  demo  or  Release  may  vary  widely.    The   business  ul.mately  determines  sa.sfac.on  with  demonstrated  progress  and  each   new  product  release.    
  58. 58. 3/3/14 | 58 | ©2012 Ciber, Inc. KPI  Workbook  –  Business  Sa-sfac-on   •  Enter the score given by your Product Owner as the response to the question “ Is the business seeing meaningful progress toward delivering value?”! •  KPIs will color red, yellow or green as appropriate" –  If Business Satisfaction score is 8-10, the KPI will be green" –  If Business Satisfaction score is 6-7, the KPI will be yellow " –  If Business Satisfaction score is 5 or less, the KPI will be red"
  59. 59. 3/3/14 | 59 | ©2012 Ciber, Inc. Lesson’s  Learned/Observa-ons   •  IniKally,  strong  resistance  from  Business  Leaders   o  …but  Agile  is  an  “IT  Thing”   o  “Here’s  the  requirements.  See  you  in  6  months”   •  Create  an  Agile  Leadership  team,  that  is  focused  on  removing   impediments  to  Agile  adopKon.   o  Run  as  a  [modified]  Scrum  Team   •  Be  mindful  of  execuKve’s  Kme   •  Take  what  you  can  get  –  not  everyone’s  schedule  can  be  in  sync   •  Needs  to  be  sold  to  leadership   §  What  is  the  return  on  Time  Invested?   §  How  will  this  help  the  transformaKon  succeed?    

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